Wine Social Media Marketing ROI – Reader’s Question, Part 2

Last week  Juan van Deventer ( @jevandeventer  ) from JVD Wine in South Africa  asked me if there was any return on investment (ROI) in social media for the wine industry. “Any stats that you may be able to share with us in regards to social media & sales?” he asked via Twitter.  I outlined in Thursday’s blog post 2 ways to determine this answer: correlation and hard data. But just to explain how to measure correlation between wine sales and social media took me a whole blog post. And I didn’t want to sell you short on my favorite method for determining ROI of social  media, the hard data.

If you went to grad school like I did, you probably focused heavily on research studies. There are 2 types of studies – quantitive and qualitative. Thursday’s post was about how to do a qualitative study on ROI in social media marketing for your winery. Quantitative is what we are going to talk about today. Qualitative gives answers, but they are less precise. Quantitative gives precise results but they miss the big picture.

Know this guy? He built his name on social media marketing his online wine store. (

Know this guy? He built his name on social media marketing his online wine store. (

Catch 22 of Wine Social Media Marketing ROI

The big picture that we will miss is that social media marketing is a brand strategy; it enriches your relationship with your consumers. But it is really complicated to track consumer confidence of your brand using the data available.   Quantitative analysis of ROI in social media marketing  can be so powerful because it will show that there are sales generated directly from your social  media efforts. But I don’t think it shows the true ROI – which could be much higher if you have high consumer confidence that you built via a strong brand strategy using social media marketing.

Wine Retail E-commerce Sites are the Winners

I believe the wine companies that will generate the highest ROI from social media are not the wine producers, but the wine e-commerce retailers.  These guys have so much more selection, which means they can create lots of content to push out on social media to sell that inventory. Content is king in internet marketing – and social media marketing requires content to generate ROI. By sharing links to your content on social media, you generate more website traffic. The more content you have hosted on your website, the more website traffic you will have. The more website traffic you have, the more sales you generate (assuming you have a user friendly website). Juan from JVD Wine, you have a blog on your website, but it hasn’t been updated since September 2013. There is no shame in not updating your website’s blog, but if you want to generate ROI from social media then you will want to start blogging at least weekly.

The way to measure your ROI in social media “quantitatively” is actually pretty easy. I give more detailed instructions here, but basically you set up tracking codes on your checkout page.  These tracking codes record what source the user came from to get to your website. By source, we mean “Twitter” “Facebook” “Google Search” “Email Marketing” “Pay Per Click.” I really like this method of measuring my ROI for each channel because it informs me of what sources are bringing me the most sales and which sources give me the most lucrative sales.  You can actually track dollar amount per source, so you can see true ROI for each channel. But I recommend contacting a professional about this because the setup is complicated. But once you have it set up it is easy to get weekly,  monthly or quarterly reports automatically sent to your inbox.


  • DerichM says:

    Very interesting perspective on how to quantify Social Media ROI in the very fragmented wine niche..although i think others, than just the e-commerce players, will reap the rewards from “King Content.” I also think that Gary Vaynerchuk and his high energy, Wine Library TV helped buck the system, in terms utilizing the latest technologies and social networks to build his brand equity and sell other brands. I do think however that using promo codes in your social media marketing is brilliant and will help even more than just wine sales..great article Courtney! Cheers!

  • thank you for the insights, I will aim to post more often. the actual job of selling is taking up a lot of my time…..

  • Hi Courtney

    Thank you for the insights, I will aim to post more often. the actual job of selling is taking up a lot of my time….. but see now that I have to pay more attention to it if I want to grow

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